Asking Prices of Exeter Property down 1% in the last year

I had an interesting question the other day from a homeowner in Clyst Heath who asked me the difference between asking prices and values and why it mattered. When it comes to selling property, there must be agreement between the purchaser (buyer) and seller (vendor) for a property sale to take place. The value a buyer applies to a property can massively differ from the value a seller or mortgage company places upon it. The seller, the buyer and the mortgage company must find an agreeable value to assign to a property so the sale can proceed.

In many of my articles about the Exeter property market, I talk about values, i.e. what property in Exeter actually sells for, but I haven’t spoken about asking prices for while. Now asking prices are important as they are one of the four key matters a potential buyer will judge your property on (the others being location, bedrooms and type). Price yourself too high and you will put off buyers. So let’s take a look at the Exeter numbers.

Over the last 12 months asking prices (i.e. the price advertised in the paper and on Rightmove) in Exeter have decreased by 1%, taking the average asking price in Exeter to £321,300 (down from £323,500 twelve months ago).

Interestingly though, when we look at, say detached and terraced property, a slightly different picture appears. Twelve months ago, the average asking price for a detached house in Exeter was £471,300 and today its £467,200 (a drop of 1%); whilst over the same 12-month period, the average asking price of a terraced property was £257,800 a year ago, and today its £279,200 (a rise of 8%).

However, my research shows that the supply of property for sale in Exeter is beginning to increase. In December 2015, there were 817 on the market in Exeter today there are 855 properties on the market (up 5%). This will mean homeowners looking to sell will need to be conscious of how their property compares against others on the Exeter property market. The Exeter property market still has substantial momentum and sufficient demand remains. This noteworthy increase in supply since Christmas is currently providing more choice for buyers.

… And here is the second point to make. Asking prices are one thing, but what a property sells for (i.e. value) is a completely different matter. These are the average prices achieved (i.e. what they sold for or the average value) for property in Exeter over the last 12 months…

Overall Average £262,700

Detached £388,400

Terraced £226,100

You can quite clearly see, there is a difference between what people are asking for property and what it is selling for. The underlying fundamentals of low interest mortgages and tight supply remain prevalent in the Exeter property market however, the number one lesson has to be this … if you want to sell, be realistic with your pricing.

Michael Fredriksson

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Thank you for visiting this blog. Northwood Exeter are a leading estate agent and professional team of local, friendly experts who are passionate about property. We are proud of our reputation across Exeter and the surrounding areas earned through our knowledge of the property market.

I have always shared my thoughts on the local property market in Exeter with my landlords, but now I want to share with everyone in the town.

On this blog, Gail Barnes I will talk about what is happening in the town's property market itself, even looking at specific streets or housing estates. At other times, we will post what we consider decent buy to let deals. Some will be on the market with me as we also sell property, but others will be on the market with other agents in Exeter. We like to look at the whole of market and give you, what we consider the best investment opportunities.

If you see a potential deal, and want a second opinion, without hesitation, email the Rightmove link to exeter@northwooduk.com , we will always give you our honest opinion on the property and its investment potential. (both good and bad) .

About The Blog

This blog follows the buy-to-let and sale market in Exeter. You'll find tips, guidance, and analysis that relates specifically to Exeter and you'll also find properties from all the estate agents in the town on here that may make decent investments. I operate Northwood Exeter with Gail Barnes and if you're thinking of buying a property to let in Exeter or just want an up to date Market Appraisal of your home, please do not hesitate to call me on 01392 435 130 or e-mail on exeter@northwooduk.com